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Czech Airlines Announces New CEOOctober 21, 2009 By: Jena Tesse Fox
Czech Airlines has chosen the head of Prague Airport as its new chief executive to help turn the beleaguered flag-carrier around.
Miroslav Dvorak, chief executive of Prague Airport operator Letiste Praha, will replace Radomir Lasak as the new chairman of the board. Dvorak will remain chief executive at the airport, a separate state-owned company.
The airline’s supervisory board will be headed by economist Miroslav Zamecnik, who will replace Vaclav Novak. Novak resigned after his plan to turn around the loss-making airline was rejected.
The moves follow weeks of negotiations with pilots over wage cuts, and comes before a decision, expected this week on whether the state will accept the only privatisation bid on the table.
Czech Airlines expects to post a $186 million loss this year despite efforts to halt the company’s slide. The new management team will repotedly continue cutting costs.
The company has suffered 10 percent decline in traffic due to the global recession.